Do you like what you just read?

Political stakes for Trump in NAFTA negotiations

President Donald Trump said today in his weekly address to the nation that the coming days are to be recognized as "Made in America Week." Striking a tone that he made throughout his presidential campaign, Trump spoke to reviving American manufacturing and creating a "level playing field" for American exports.

He said:

"For too long, our government’s policies have punished production in America while rewarding and encouraging the movement of production overseas, which is totally ridiculous. The result has been the loss of numerous industries, the decimation of entire communities, and years of sluggish growth and flat wages.

"Throughout American history, our nation’s best leaders have believed in the importance of protecting our domestic industry. This includes every President on Mount Rushmore.

"George Washington encouraged Americans to produce their own goods so that our young nation could become truly independent.

Thomas Jefferson wrote that Americans should choose products made in America whenever possible – and by the way, I’m asking you to do that.

"Abraham Lincoln warned that abandoning the policies that protect American industry would “produce want and ruin among our people.'”

"Theodore Roosevelt stated in his First message to Congress that 'Reciprocity must be treated as the handmaiden of protection.'”

Promising action in diplomacy, Trump said that his administration will address trade issues:

"No longer will we allow other countries to break the rules, steal our jobs, and drain our wealth. Instead, we will follow two simple but very crucial rules: We will buy American and we will hire American.

"Already, we have created over a million new jobs this year – and doing even better than anticipated. We are just getting started – believe me, we are just getting started."

On Friday, trade negotiators from the United States, Canada, and Mexico are gathered in the Mexican capital to discuss the future of the North American Free Trade Agreement. NAFTA has often been on Trump's lips, and was a subject of discussions this week in Washington between Secretary of State Rex Tillerson and his Mexican counterpart Luis Videgaray.

The Sept. 1-5 round of trade talks is the second to bring together the three participating parties. Among the topics to be discussed are the rules governing local content in products made in the three countries. Trump wants new rules that will mandate that some content must be Made in America. On Thursday, Trump spoke to Canadian Prime Minister Justin Trudeau. Reportedly, the pair want to iron out an agreement on NAFTA by the end of the year, the White House said. Trump said earlier that he is willing to start a 180-day countdown to withdraw from NAFTA even while the talks were ongoing to help meet his goals, which include sharply reducing a $64 billion annual U.S. trade deficit with Mexico.

Mexico’s Economy Minister Ildefonso Guajardo and Foreign Minister Luis Videgaray warned the US that their government is willing to walk away from the table if Trump does pull the trigger on withdrawing from the deal.

Mexico appears to be preparing for life after NAFTA, which currently means trilateral trade of approximately $1 trillion annually. The president of Mexico’s Business Coordination Council, Juan Pablo Castonon -- who represents the private sector in the talks, said Mexico will be able to come up with a Plan B within three months should NAFTA collapse. On Mexican television, Castonon said that Plan B would contemplate new trade arrangements in Asia and Latin America, incluiding the purchase of grain from Brazil instead of the US. To that end, Mexican President Enrique Pena Nieto will travel to China today to negotiate trade and investment deals. In addition, Mexican representatives are to enter into trade negotiations with several South American republic, as well as Australia and New Zealand on Tuesday.

Because Mexico is the biggest foreign buyer of yellow corn (maize) from the United States, corn-growing states have some skin in the game while the Trump administration negotiates the future of NAFTA. Iowa, for example, went for Trump and thus has a considerable say as to whether NAFTA will soon be obviated.

OFFICIAL WHITE HOUSE TRANSCRIPT::

My fellow Americans,

On Monday, I signed a Presidential Proclamation declaring this to be “Made in America Week.”

We believe that our country is stronger, safer, and more prosperous when we make more of our goods and our products right here in the USA. When we purchase products Made in America, the wealth, revenue and jobs all stay in our country – to be enjoyed by our people.

Since we first won our Independence, our Founders and many of our greatest leaders have promoted that we should afford a special level of protection to the products and goods manufactured within our borders. They understood that as a nation, we have common bonds with our fellow citizens and common obligations to each other. Making and buying made in America products brings us closer, and strengthens the ties that link us all together.

For too long, our government’s policies have punished production in America while rewarding and encouraging the movement of production overseas, which is totally ridiculous. The result has been the loss of numerous industries, the decimation of entire communities, and years of sluggish growth and flat wages.

Throughout American history, our nation’s best leaders have believed in the importance of protecting our domestic industry. This includes every President on Mount Rushmore.

George Washington encouraged Americans to produce their own goods so that our young nation could become truly independent.

Thomas Jefferson wrote that Americans should choose products made in America whenever possible – and by the way, I’m asking you to do that.

Abraham Lincoln warned that abandoning the policies that protect American industry would “produce want and ruin among our people.”

Theodore Roosevelt stated in his First message to Congress that “Reciprocity must be treated as the handmaiden of protection.”

James Monroe called on our nation to “cherish and sustain our manufacturers.”

James Garfield said of our nation’s manufacturers: “To them the country owes the splendor of the position it holds before the world.”

William McKinley believed that when America protects our workers and industries, we “open up a higher and better destiny for our people.”

And Calvin Coolidge stated that protecting American industry “enables our people to live according to a better standard… and receive a better rate of compensation than any people, anytime, anywhere on earth, ever enjoyed.”

We are now, under the Trump Administration, reclaiming our heritage as a manufacturing nation. We are fighting to provide a level playing field for American Workers and Industries. Other countries will cease taking advantage of us, believe me.

We are going to build works of beauty and wonder – with American hands, American grit, and American iron, aluminum, and steel.

No longer will we allow other countries to break the rules, steal our jobs, and drain our wealth. Instead, we will follow two simple but very crucial rules: We will buy American and we will hire American.

Already, we have created over a million new jobs this year – and doing even better than anticipated. We are just getting started – believe me, we are just getting started.

For every job that comes back to this country, and every factory that reopens, and every town that is revitalized, we aren’t just restoring American wealth, we are restoring American pride. We are restoring America’s future – a future where millions will be lifted from welfare to work, where children will grow up in safe and vibrant communities, and where our nation will stand stronger than ever before.

And most importantly, it will be a future in which you – our citizens – always come first.

Thank you, God bless you, and God bless America – we are truly making it great again.